Press Release - 18.01.2023 - 10:00
Lars Larsen Group delivers record results and continues long-term growth strategy
Despite another year of global challenges Lars Larsen Group sets a new record in revenue for the financial year 2021/22.
The total revenue in Lars Larsen Group rose to DKK 44bn in 2021/22 which is a new record and an increase of more than 12 percent compared to the previous financial year. The EBIT-result also set a record of DKK 4.9bn in 2021/22 compared to 4.8bn in the previous year.
New business structure
Concurrent with the announcement of the total result for the group, Lars Larsen Group unveils a new business structure this year to create even more synergies across the group. Henceforth, the activities and companies in the group will be divided into the business areas Lars Larsen Group Retail and Lars Larsen Group Investments, respectively.
The revenue of Lars Larsen Group Retail increased by 12 percent in 2021/22 to reach DKK 40.4bn and profit before tax amounted to DKK 4.5bn.
In the financial year 2021/22, Lars Larsen Group Investments delivered an 11 percent increase in revenue which amounted to DKK 3.6bn. While 2020/21 was a financial year with clear tailwind for Lars Larsen Group Investments the global challenges had quite the opposite effect in 2021/22. Thus, profit before tax for Lars Larsen Group Investments resulted in a loss of DKK 243m.
Collectively, profit before tax reached DKK 4.3bn in 2021/22 which is Lars Larsen Group’s second-best result in the history of the group.
”The trinity of Russia’s invasion of Ukraine, the economic crisis, and the climate challenges has caused global market volatility and uncertainty that none of us have faced before and it has had immense personal consequences for many of our colleagues as well,” says President and CEO of Lars Larsen Group, Jesper Lund.
”Through all of this it has been crucial for us to hold on to our values and our long-term strategy with focus on Tradesmanship, Responsibility, and Growth. With the conditions that have characterised the latest financial year the result is both satisfactory and one which all employees can be proud of,” Jesper Lund continues.
In addition, even more jobs have been created in the group which has grown from 37,000 to 40,000 employees globally.
Acquisition, sale, and merger
Lars Larsen Group has also completed a number of acquisitions, sales, and mergers in 2021/22. The company Solid Leasing was merged with the Danish company Selected Car Group and the golf and utility vehicle manufacturer Garia was sold to US-based Club Car LLC. Finally, Lars Larsen Group acquired the company SITS in Poland through the subsidiary Actona Group.
Furthermore, Lars Larsen Group invested DKK 3.4bn in group operations besides investments in acquisitions, private equity, real estate, and more.
Global tax footprint
In the annual accounts for 2021/22 DKK 830m was allocated for payment of corporate income taxes which corresponds to a taxation rate of 20.5 percent compared to 20.6 percent in the previous financial year. However, corporate income taxes only make up part of the general picture. During the past year, Lars Larsen Group continued to map its Global Tax Footprint which reflects the group’s total tax contribution in all the countries it operates in.
”For the financial year 2021/22, our contribution amounts to DKK 9.2bn compared to DKK 8.7bn in the previous financial year. We will continue to increase transparency of our tax footprint which, in combination with our activities, highly contributes to our fundamental ambition of creating long-term growth and value for the societies of which we are a part,” Jesper Lund concludes.
